E.P.B. Electric Customers on the Variable Price Rate- We predict the POSSIBILITY for January's peak electric demand to occur on Monday, January 21st between 7am - 1pm. This is only a prediction based upon our best guess as to what the combination of all customers in Glasgow will demand from T.V.A. This is our forecast which is provided as a convenience for E.P.B. customers who wish to receive forecasts. You will be billed for your contribution to the peak hour which falls within one of our predicted periods only. If you want to move to a fixed energy rate without coincident peak demand charges, please contact us at 270-651-8341.

Ø Accurate peak prediction for December issued using only two predicted days

Ø Reorganization of team, due to retirements and illness, will continue through 2019

Ø Discuss appointments to Cable Television Programming Committee

Ø Consider Bond Issuance Proposals for 2019

Ø Consider Request from Barren-Metcalfe County Ambulance Service

Ø EPB Internet Speed Upgrade

Ø NBCU Programming Recommendation

Action Items

📷

February 1 FCA

Ø The February 2019 TVA FCA will decrease to 1.909 cents per kWh. This is the second consecutive small decrease in the FCA, but the decreases are smaller than anticipated. TVA states the reason is the very unusually cold November, which caused them to purchase a lot more fuel and energy from neighbors.

Ø On February 1, the energy component of our retail rates will adjust to reflect this anticipated decrease to the wholesale cost of energy.

Agreement with Hilliard-Lyons to act as Financial Advisor

Ø The team at H-L has served us well for over thirty years in helping us raise capital when needed. They bring years of experience and a history of success and professionalism relative to our bond issues.

Ø A copy of the proposed agreement and fee schedule for the upcoming 2019 bond issuance is attached and will be available for your consideration at the meeting.

Consideration of official bond resolution

Ø The 2019 bond issuance consists of one set of bonds to be used to refinance an old bond issuance from 2009, which we anticipate will save approximately $25,000 per year for the next ten years. This will be a $2.705M issuance.

Ø The second set of 2019 bonds will be one of our regular issuances of debt for capital to be used in our system enhancement and maintenance projects over the next two years. This issuance will be for $3,050,000. The term of these bonds will be twenty years.

Ø The bond resolution was drafted by H-L and our bond counsel, Rubin & Hays. Copies of the full resolution are attached and will be available at the meeting.

Presentation by Charles O’Neal with Barren-Metcalfe Ambulance Service

Ø Issues with the building presently occupied by the ambulance service are causing them to consider spending considerable money on the building, or possibly abandoning the site/building completely.

Ø Glasgow EPB gave the land to the ambulance service in 1981, but there is a provision in the deed that transfers the property back to EPB should they ever cease to utilize it.

Ø Mr. O’Neal contacted us in December and asked for us to consider altering the deed. He will explain the proposal in detail at the meeting.

Ø A copy of documents relevant to this matter is attached.

Cable Television Programming Committee Appointments

Ø The Programming Committee acts independently of EPB to consider what programming is appropriate for the EPB Cable Television system. The committee makes these determinations and recommends same to the EPB.

Ø The committee was purposely created to isolate EPB from any potential violation relative to the First Amendment to the U.S. Constitution.

Ø The committee consists of six members, with staggered terms, in addition to the Superintendent, who acts as Chairperson and liaison between the committee and EPB.

Ø The terms of Mary Genice Burchett-Bower and Karl Napier expired at the end of 2018. Ms. Burchett-Bower has served two terms and Mr. Napier has served one term.

- Updated calculations will be presented at the meeting. The fund is in excellent shape due to recent accuracy of peak predictions, but the reporting format is being overhauled.

Ø EPB Team Staffing Master Plan

- Report on progress of long-term staffing plan

- Updated chart on Master Plan will be presented

Ø End of Year Internet Upgrade

- EPB has historically recognized the value of its internet access products and the customers who use the product, by performing the necessary work to upgrade speed offerings each year.

- This year the board authorized a significant expenditure to upgrade the CMTS and make system improvements which allowed the customary annual upgrade to be possible.

- At the end of 2018 our internet products were upgraded at no additional cost to EPB customers. Download maximum speeds were upgraded as follows: 15 MB service is now 25 MB service, 25 MB service was upgraded to 50 MB, and the 50 MB product doubled in speed to 100 MB.

Ø Additional Grant Funding

- TVA has released funds which were left over after two previous research projects were completed. These funds total about $72,000 and will be used to help us continue our work with the SET technologies. TVA wants to do additional research with us in Glasgow and we are awaiting a proposal from them.

Ø Round Up Program Report

- Last month there was general discussion about the program and questions were asked about how EPB might step up its promotion of the program and its assistance to Community Relief.

- We dramatically increased the advertising for Round Up, and we found that the fund contained about $1500 awaiting the customary annual transfer to Community Relief.

- Since board members related information about the CR resources being depleted, that $1500 was transferred to CR at end of year.

E.P.B. Electric
Customers on the Variable Price Rate- We predict the POSSIBILITY for January's
peak electric demand to occur on Friday, January 11th between 7am - 1pm. This is
only a prediction based upon our best guess as to what the combination of all
customers in Glasgow will demand from T.V.A. This is our forecast which is
provided as a convenience for E.P.B. customers who wish to receive forecasts.
You will be billed for your contribution to the peak hour which falls within one
of our predicted periods only. If you want to move to a fixed energy rate
without coincident peak demand charges, please contact us at
270-651-8341.

E.P.B. Electric Customers on the Variable Price Rate- We predict the POSSIBILITY for January's peak electric demand to occur on Thursday, January 10th between 7am - 1pm. This is only a prediction based upon our best guess as to what the combination of all customers in Glasgow will demand from T.V.A. This is our forecast which is provided as a convenience for E.P.B. customers who wish to receive forecasts. You will be billed for your contribution to the peak hour which falls within one of our predicted periods only. If you want to move to a fixed energy rate without coincident peak demand charges, please contact us at 270-651-8341.

ØAccurate peak prediction for November issued using
four predicted days

ØReorganization of team, due to retirements and
illness, will continue through 2019

ØDiscuss
appointments to Cable Television Programming Committee

ØReview
and consider EPB Pay Plan for 2019

ØEvaluate
Superintendent’s Performance

ØEPB
Internet Speed Upgrade

Action Items

January 1
FCA

ØThe January 2019 TVA FCA
is projected to decrease to 1.849 cents per kWh. Since the meeting is a week
early, final TVA figures on the FCA are not yet available.

ØOn January 1, the
energy component of our retail rates will adjust to reflect this anticipated decrease
to the wholesale cost of energy.

Bi-Annual
Write Offs Report and Recommendation

ØList of accounts proposed to be written-off is provided as an attachment.

ØSuperintendent will review the list of accounts with board and make a
recommendation.

Software/Hardware
Support Agreement with Elster/Honeywell

ØAnother example of our fixed costs increasing comes
from the vendor for our metering technology, Elster, which was acquired by
Honeywell.

ØAnnual support was previously about $17,000 per
year. Since the acquisition by Honeywell, the new cost proposed is over $22,500
per year, which requires Board action.

Cable
Television Programming Committee Appointments

ØThe Programming Committee acts independently of EPB
to consider what programming is appropriate for the EPB Cable Television system.
The committee makes these determinations and recommends same to the EPB.

ØThe committee was purposely created to isolate EPB
from any potential violation relative to the First Amendment to the U.S.
Constitution.

ØThe committee consists of six members, with
staggered terms, in addition to the Superintendent, who acts as Chairperson and
liaison between the committee and EPB.

ØThe terms of Mary
Genice Burchett-Bower and Karl Napier expire at the end of this year. Ms.
Burchett-Bower has served two terms and Mr. Napier has served one term.

ØAction on this item
is not essential this month, but should be done in January, 2019.

ØThis year, the delta
between EPB Hourly pay rates and the average of the peer group was found to be
4.6%.

ØSuperintendent will
recommend a 4.1% adjustment to hourly position pay rates for 2019, along with
corresponding adjustments to the midpoints of the six EPB merit pay grades.

ØNationwide CPI change
over the 12 months ending in October, as reported by Bureau of Labor
Statistics, is 2.5%.

ØSuperintendent will
recommend budgets for hourly, merit, apprentice, and retirement/replacements
for 2019.

Performance
Review of Superintendent

ØA performance review of the Superintendent is
customarily performed during the December meeting.

Reports

ØCPD Charge Reserve Fund
Status

-kW
demand markup was implemented last year to cover TVA wholesale cost for missed
peak predictions

-Updated calculations will be presented at the meeting if available. The
fund is in excellent shape due to recent accuracy of peak predictions, but the
reporting format is being overhauled.

ØEPB Team Staffing
Master Plan

-Report on progress of long-term staffing plan

-Updated chart on Master Plan will be presented

ØEnd of Year Internet
Upgrade Plans

-EPB has historically recognized the value of its internet access products
and the customers who use the product, by performing the necessary work to
upgrade speed offerings each year.

-The authorization by the board has allowed us to procure the necessary hardware
and software upgrades to upgrade speeds again this year, and those upgrades
have been successfully installed, with little interruption to customer services.

-Our team is completing the testing of speeds in recently upgraded
neighborhoods, where growth of customers had outpaced our predictions. As soon
as this testing is completed, an announcement will be made on the precise speed
upgrades to be implemented.

E.P.B. Electric Customers on the Variable Price Rate- We predict the POSSIBILITY for December's peak electric demand to occur on Tuesday, December 11th between 7am - 1pm. This is only a prediction based upon our best guess as to what the combination of all customers in Glasgow will demand from T.V.A. This is our forecast which is provided as a convenience for E.P.B. customers who wish to receive forecasts. You will be billed for your contribution to the peak hour which falls within one of our predicted periods only. If you want to move to a fixed energy rate without coincident peak demand charges, please contact us at 270-651-8341.

E.P.B. Electric Customers on the Variable Price Rate- We predict the POSSIBILITY for December's peak electric demand to occur on Wednesday, December 5th between 7am - 1pm. This is only a prediction based upon our best guess as to what the combination of all customers in Glasgow will demand from T.V.A. This is our forecast which is provided as a convenience for E.P.B. customers who wish to receive forecasts. You will be billed for your contribution to the peak hour which falls within one of our predicted periods only. If you want to move to a fixed energy rate without coincident peak demand charges, please contact us at 270-651-8341.